INCENSE drifts through this small school overlooking a white Buddhist temple in Nuuanu. Students and faculty bow their heads before and after class, and misbehaving children must do yoga and meditation as an alternative to suspension. Four years after opening, the Pacific Buddhist Academy, the only Shin Buddhist high school in the country, will graduate its first class Friday. Fourteen seniors will get their diplomas and chant in a ceremony at the Honpa Hongwanji Hawaii Betsuin temple, just steps away from a college preparatory school that taught them as much about math and science as it did about respect, gratitude and peace.